- Traders are bearish with 57% short positions (-2%)
- 60% of pending orders in 100-pip range are to SELL the Euro
- Significant resistance near 1.2360
- Minor fundamentals scheduled for today
The Greenback fluctuated based on the releases of the controversial reports from Bureau of Labour Statistics on Friday. The EUR/USD currency pair rose by 16 pips in the first 5 minutes, however the trend reversed right after, causing the pair to tumble almost twice as much.
The Bureau of Labour Statistics simultaneously released 3 reports on Friday: average hourly earnings, non-farm employment change and unemployment rate, from which only the first 2 had a notable impact on the exchange rate. The up-move in the EUR/USD currency pair was caused by lower-than-expected average hourly earnings data, while the downtick was driven by better-than-expected non-farm employment change figures.
Minor data
The economic calendar for this trading includes several fundamental events of minor importance, such as the US 10-y Bond Auction and the Federal Budget Balance at 1701GMT and 1800GMT, respectively.
Meanhwile, Eurogroup meetings are to take place today.
EUR/USD continues consolidation
EUR/USD showed no changes to its price level on Friday, as it remained fluctuating around the 200-hour SMA slightly above the 1.23 mark. The current positioning of the pair suggests that the Euro could edge lower this week in order to approach the bottom boundary of the senior channel, the weekly S1 and the 38.20% Fibo circa 1.2230.In terms of today, technical indicators are tended northwards that points to a possible push upwards in this session. However, the combined resistance of the 100-hour SMA and the 23.60% Fibo near 1.2350 should provide strong resistance for the pair, especially when the lack significant fundamentals cannot add additional strength to this bullish movement.
Meanwhile, it is unlikely that the pair falls down to its nearest resistance of 1.2250.
Hourly Chart
The Euro retraced from the breached channel last week and has since edged slightly lower. It is likely that the pair continues its medium-term down-trend and approaches the bottom boundary of the senior channel circa 1.22 during the following trading sessions.
Daily Chart
Traders are bearish
The number of short positions of EUR/USD is 57% in this session (-2%).
The outlook for the two currencies against the rest of the traded financial instruments is as follows: the Euro is 63% bearish and the US Dollar is 55% bullish.
The bearish sentiment of OANDA traders is at 56% short positions today. Meanwhile, Saxo Bank clients have diminished their short positions by one percentage points to 61%.
Spreads (avg, pip) / Trading volume / Volatility